VAT on Services

01-06-2003

The Commission has published a Consultation Paper concerning VAT - The Place of Supply of Services, which suggests that the 'default' provision should no longer be taxation on the basis of where the supplier is established, but taxation where the customer is established. This Briefing examines the general problems of levying VAT on services within the Single Market, and makes a number of comments on the Commission paper.

The Commission has published a Consultation Paper concerning VAT - The Place of Supply of Services, which suggests that the 'default' provision should no longer be taxation on the basis of where the supplier is established, but taxation where the customer is established. This Briefing examines the general problems of levying VAT on services within the Single Market, and makes a number of comments on the Commission paper.